As per our prior discussion, let’s take a look at a nice set of charts showing the present state of Consumer Finances (all data thru Q1 2010):
Balance Sheet, Savings Rate, Debt Service Ratio
click for larger chart
Source: (Left chart) JPM, FRB, J.P. Morgan Asset Management. Data includes households and nonprofit organizations. (Right charts) BEA, FRB, J.P. Morgan Asset Management
* Personal savings rate is calculated as personal savings (after-tax income – personal outlays) divided by after-tax income and reflects data through February. Employer and employee contributions to retirement funds are included in after-tax income but not in personal outlays, and thus are implicitly included in personal savings. Savings rate data are as of Feb. 2010. All other data are as of 4Q09.